Sylvester Stallone

Jon Kopaloff/FilmMagic

Housewives don't always know best.

Lisa Vanderpump introduced Sylvester Stallone to Mohamed Hadid, a contractor, but things didn't exactly work out. Stallone, 65, has filed a lawsuit against Hadid, alleging fraudulent concealment, breach of an oral contract, negligence and disgorgement of compensation.

According to Stallone, he's suffered damages in the amount of $1 million as a result of Hadid's "fraudulent scheme to profit from construction at [his] Los Angeles home." He even calls Hadid "incompetent."

So what does Vanderpump have to say about having introduced Stallone to his allegedly shoddy contractor?

"I made a social introduction. That was all," she told E! News in a statement. "They're both adults and they are old enough to make their own decisions."

A source tells us that Sylvester and Hadid actually met at one of Vanderpump's birthday parties. "Lisa has been friends with them for a long time," adds the source. "Mohamed is not really a construction worker. He is a developer. He has developed Ritz Carlton hotels."

"Lisa introduced them as friends," adds the source. "There was never a suggestion that they should do business together. That was something decided between themselves. Sylvester went to Mohamed's house and the business came from that. But Lisa was never present for any of those dealings."

Even though Vanderpump wasn't actually part of Stallone and Hadid's business dealings, the action star is placing blame in her direction. His suit alleges Hadid lied about his qualifications and perpetuated this fraud through recommendations, including "the unfounded recommendation of Ms. Vanderpump."

—Additional reporting by Claudia Rosenbaum and Sharareh Drury

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